Johannesburg - The Democratic Alliance and Department of Trade and Industry are at loggerheads over the controversial Centurion Aerospace Village.
The official opposition is arguing that the department has contradicted itself in media statements, while the department is standing by what it has previously said.
At the heart of the dispute is whether the village has a paying tenant, or not. The DA previously leaked a redacted forensic report by Nexus Forensic Services to the media.
The report alleges widespread irregular spending, including on porn sites, conflicts of interest and breaches of the law meant to ensure taxpayers’ money is properly spent. The DA has also claimed that the village does not have Aerosud as a paying tenant as the building is not fit for occupancy, and that the whole village was a waste of money.
The DTI has hit back at these claims, arguing Aerosud is in occupation of a building and all the issues raised in the report are being dealt with, while issues around the building, related to compliance and regulatory matters, are in the process of being resolved with the municipality.
The department adds it has implemented the recommendations of the forensic report and a further update will be provided to the Portfolio Committee.
The first phase of the three-phase development was set to cost about R130 million, although documents provided by the DA alongside the forensic report shows the department transferred a total of R95 million was transferred to the village between 2010/11 and 2014/15.
In a statement issued by the Democratic Alliance’s shadow deputy minister of Economic Development, Patrick Atkinson, the opposition argues the department has contradicted itself in a written reply to a Parliamentary question.
Atkinson says the reply, penned by minister Rob Davies, says there is no tenancy agreement between the Centurion Aerospace Village (CAV) and its so-called sole tenant, Aerosud. This directly contradicts the DTI’s media statement on September 17 this year, in which the department claims that the CAV is fully operational and has one tenant, he says.
In addition, Atkinson argues the only building in the village - which cost R22 million to build - is not fit for occupation by Aerosud, as it does not have an occupancy certificate. As a result, Aerosud is not paying rent, it says.
“The reason offered by the minister for why the occupancy certificate has not been issued once again contradicts the findings of the forensic report. While the minister contends that the certificate was not awarded due to the termination of the bulk earthworks contract as a result of the forensic investigation, the very same forensic investigation found that this was due to non-payment of R14 million to the City of Tshwane by the CAV.”
The DTI argues Aerosud is occupying a building in the Centurion Aerospace Village. “Assertions by the Democratic Alliance that this is not the case are baseless.”
Although Aerosud has other land and buildings adjacent to the land and building belonging to government, it occupies the main Centurion Aerospace Village building and has a lessor/lessee relationship with the CAV, says DTI.
It adds some formalities that would see Aerosud pay rent are in process.
IOL